Varel Completes Recap

KRG Capital Partners has recapitalized portfolio company Varel International, a Carrollton, Texas-based supplier of drill bits for the oil, gas and mining industries. Apollo Investment Corp. led the recap’s $115 million in senior unirate loan and junior subordinated notes, with American Capital Strategies also participating. Varel also structured a $10 million asset-based revolver with Fifth Third Bank, while KRG maintains its majority ownership.< ?xml:namespace prefix = o ns = "urn:schemas-microsoft-com:office:office" />